GST

Bank guarantee not required for export. Letter of Undertaking, in place of bond shall be allowed

Bank guarantee not required for exporting goods or services. To facilitate exports under GST, Letter of Undertaking, in place of bond shall be allowed 

Press Information Bureau 
Government of India
Ministry of Finance
30-September-2017 12:55 IST

Facility of furnishing Letter of Undertaking extended to more exporters 

Small exporters have brought to the notice of the Government the difficulties in furnishing bond with requisite bank guarantee. To facilitate exports under GST, it has been decided that the facility of furnishing Letter of Undertaking, in place of a bond, for exporting goods or services or both shall be allowed to exporters and no bank guarantee will be required.The relevant notification for this shall be issued in due course. 

The issue of cash blockage is expected to be partially addressed by this measure. More measures are under consideration. 

*****
DSM/SBS
Share

Recent Posts

  • Income Tax

AO can’t take two different stands on immunity u/s 270AA(2) for a same transaction

Immunity u/s 270AA(2) in respect of a single transaction can not be denied to one assessee when the penalty was…

1 hour ago
  • Income Tax

ITAT held 2000 gram jewellery reasonable in view of customary practices & CBDT Instruction

ITAT deleted addition u/s 69A towards jewellery found in search in view of Indian traditions, CBDT Instruction and High Court…

19 hours ago
  • Income Tax

Documents obtained post search & information obtained from public domain not incriminating material

Documents obtained post search and information obtained from the public domain not incriminating material. Documents obtained by AO post search…

2 days ago
  • Income Tax

No second reopening for unexplained credits in bank due to bank’s name change

Information of deposits in bank did not constitute fresh information necessitating second reopening due to change in bank name In…

2 days ago
  • Empanelment

FDCM invites application for empanelment of practising CAs/ Chartered Accountant Firms

Invitation For Empanelment Of Practising Chartered Accountants / Chartered Accountant Firms Forest Development Corporation of Maharashtra Limited (FDCM Limited), Nagpur,…

1 week ago
  • Empanelment

PGRI invites application for CAs for empanelment for Circulation Verification work

Press Registrar General of India (PGRI) invites application for empanelment of Chartered Accountants. The Press Registrar General of India manages…

1 week ago